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Using this linkhttps://www.realtor.ca/real-estate/25140854/902-362-the-east-mall-toronto-islington-city-centre-west#view=neighbourhood please fill out Assumptions of Case Study Value to Enter Range From Range To Average Daily Rate or ADR Days of a

Using this linkhttps://www.realtor.ca/real-estate/25140854/902-362-the-east-mall-toronto-islington-city-centre-west#view=neighbourhood please fill out

Assumptions of Case Study
Value to Enter
Range From Range To
Average Daily Rate or ADR Days of a year 365 days
Vacancy Rate % Depreciation Years
Management Fee % Purchase Price
Loan Amount
Loan Year
Required Return on Capital % State and Federal Tax %
Growth % Property Tax
Depreciation Factor 1 Financing Rate %
Closing Cost %
Re-Investment Rate %
Derived Value (calculated from assumptions)
Cap Rate 0.0% =Rate_RR-Rate_Growth
Potential Annual Revenue $ - =Rev_ADR_m*Rev_Days*(1-COGS_VRate_s)
Initial Cash Outflow $0 =-OF_PP*(1+OF_Close)

And answer these questions.

What assumptions must be considered to develop a CAPEX analysis? Please explain each of your inputs and reference all sources.

The goal of these assumptions is to help determine the net present value, modified internal rate of return, economic value added, and discounted payback period.

1.Short-term rental operational cash flow

  1. Average daily rate (range)
  2. Management fee (range)
  3. Vacancy rate (range)

2.Financing, including purchasing and selling. For this section, assumesomefinancing, an amount that makes the most sense given the generated results in Tabels 1, 2, 3.

  1. Required rate of return (or discount rate)
  2. Growth rate
  3. Financing rate (mortgage interest rate)
  4. Closing cost (land transfer tax, legal fees, etc.)
  5. Reinvestment rate (Where would/could you invest money if not in this property? What rate could you get?)

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